Germania - Servizi per le imprese: diritto, marketing, consulenza, reclutamento, stampa e sicurezza - 81318803-Improve conditions for access to and implementation of REDD+ in Brazil

The Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH is a German development agency primarily implementing technical cooperation projects commissioned by the Federal Ministry for Economic Cooperation and Development (BMZ). The "Action4Forests" project (04/2024-03/2028) aims to strengthen the capacities of Brazilian organizations and climate finance managers to improve access to and effective use of funds for forest conservation, sustainable management, and restoration in the Amazon region. The project collaborates closely with German Financial Cooperation (KfW), the Brazilian Ministry of the Environment and Climate Change (MMA), and the National Development Bank (BNDES), which manages the Amazon Fund. The Amazon Fund is a key financial mechanism under Brazil"s REDD+ program, channeling national and international donations to projects that reduce deforestation and promote sustainable use of the Amazon biome. These efforts support Brazil"s climate goals and the Brazilian Action Plan for Prevention and Control of Deforestation (PPCDAm), which is in its fifth phase (2023-2027), and has contributed to nearly a 50% reduction in deforestation since 2022. Brazil has committed to halting deforestation and achieving zero deforestation by 2030, as outlined in its updated Nationally Determined Contribution (NDC). The Multi-Year Plan 2024-2027 complements PPCDAm by defining concrete investments to reduce deforestation annually by 20%, aligning public actions with funding sources like the Amazon Fund and Brazil"s participation in international carbon markets, including under Article 6 of the Paris Agreement. Deforestation accounts for about 50% of Brazil"s greenhouse gas emissions. The federal government pursues an ambitious climate agenda focusing on reducing illegal deforestation and increasing the economic participation of Indigenous Peoples and Local Communities (IPLC). Subnational actors, especially state governments, play a growing role in forest protection and carbon credit generation. IPLC umbrella organizations - many women-led - are key to ensuring equitable, inclusive forest governance, vital for meeting the demand for high-quality carbon credits in voluntary markets. Brazil"s Federal Law No. 15,042/2024 established a regulated greenhouse gas emissions trading system (SBCE) with defined caps and integration of voluntary markets, including provisions to secure Indigenous and traditional community ownership of carbon credits, supporting equitable participation. The Amazon Fund plays a central role in Brazil"s engagement with carbon markets by supporting projects that reduce deforestation and enhance forest carbon stocks, generating high-integrity carbon credits. The project strengthens Brazil"s ability to produce and manage such credits through jurisdictional approaches and institutional capacity building, positioning the Amazon Fund as a credible actor in evolving global carbon markets. It also promotes robust governance and access to finance aligned with international standards. The project"s outputs are: 1. **Action4Governments:** Strengthening subnational systems to improve access to forest finance and participation in carbon markets, supporting knowledge exchange among states, municipalities, and key actors like CONAREDD+, CAL, and the Governors" Climate & Forests Task Force. Emphasis is placed on governance, readiness, and gender equality, with at least 50% participation of women. 2. **Action4People:** Enhancing IPLC-led umbrella organizations" capacity - many women-led - to access and manage funds for forest conservation, meet REDD+ readiness criteria (benefit-sharing, safeguards, governance, MRV), and participate in carbon markets as project developers or governance members. The project supports training, capacity building, and coordination with relevant ministries to strengthen IPLC roles and ensure gender parity. 3. **Action4Funds:** Supporting the Amazon Fund"s strategic positioning amid new carbon market legislation by advising on updated eligibility, methodologies, and financing mechanisms. This includes promoting gender-sensitive strategies, increasing subnational and local actor engagement, attracting additional international funds, and fostering knowledge exchange with other fund managers. The approach integrates REDD+ criteria to ensure equitable, inclusive forest finance aligned with Brazil"s national climate strategies. The Ministry of Environment and Climate Change (MMA) and BNDES are key partners. The project also works closely with state governments and IPLC umbrella organizations and community funds at subnational and local levels. Strengthening IPLC organizations" direct access to climate finance addresses structural barriers and enhances local ownership and inclusive forest governance. The project is designed to be scalable across biomes and funded by multiple donors. This consultancy focuses on Output 3 (Action4Funds), linking strongly to Outputs 1 and 2, aiming to enhance the Amazon Fund"s capacity to mobilize, manage, and disburse funds efficiently and innovatively, including adapting to new regulatory requirements, addressing risks, and promoting scalable forest finance governance innovations. The contract"s terms require the contractor to achieve Output 3 goals and support others, focusing on enhancing capacities for accessing and managing forest protection finance. Key targets include updating Brazil-wide REDD+ fund standards via CONAREDD+, enabling four Amazon states to meet financial access goals, supporting IPLC groups to launch 12 gender-sensitive projects, and supporting the increasing of the Amazon Fund"s disbursement. Output 1 strengthens subnational systems with states and municipalities setting targets and preparing gender-sensitive proposals. Output 2 assists IPLC umbrella organizations in capacity building and project submissions with a gender focus. Output 3 drives the Fund to lead gender-sensitive innovation and create information-sharing platforms with other climate finance entities. Additional indicators monitor the adoption of recommendations, improved finance access, greenhouse gas reductions, and increased beneficiaries of forest protection efforts. These are the three work packages (WP): Work Package 1 focuses on enhancing subnational readiness for inclusive climate finance and carbon market participation. It directly contributes to key outcome and output indicators. Action 1: Strengthen subnational incentive systems and legal readiness for carbon finance. The goal is to build capacity in states and municipalities to design inclusive socio-environmental incentives (e.g., payment for environmental services) aligned with REDD+ and carbon market standards. A toolkit will be developed covering legal foundations, benefit-sharing, market alignment, and strategic coordination. Activities include supporting Amazon states with benefit-sharing strategies, legal frameworks, and linking incentives to carbon market standards. Action 2: Align and operationalize climate financing mechanisms with REDD+ priorities. This involves aligning public and private financing with REDD+ strategies, ensuring institutions manage resources effectively. Products include a policy report and a technical document for CONAREDD+. Activities include supporting CONAREDD+ in revising finance standards, facilitating dialogue among stakeholders, capacity building on climate finance governance, and communication material development. Action 3: Strengthen governance and participation in REDD+ and climate finance. This aims to build leadership and inclusive governance capacity in public agencies and IPLCs. A governance and capacity-building package will be created with modules on governance analysis, leadership development, and best practice systematization. Activities include supporting working group analyses, facilitating leadership programs, and compiling lessons learned. Milestones include delivering toolkits, legal assessments, technical assistance, policy renewals, training, and final governance packages. Work Package 2 focuses on inclusive access and capacity building for Indigenous Peoples and Local Communities (IPLC) in REDD+ governance, climate finance, and carbon market engagement, contributing directly or indirectly to several key indicators. Action 1: Participatory development of REDD+ procedures (Benefit Sharing, Safeguard Information Systems, FPIC, Governance) alongside the CONAREDD+ Communication Plan. This includes co-creating guidelines and communication materials tailored for IPLC engagement, ensuring transparency and legitimacy in REDD+ financial mechanisms. Action 2: Strengthen Payment for Environmental Services (PES)-integrated financing mechanisms focusing on gender and youth inclusion. Activities include assessing financial mechanisms, developing gender-sensitive PES guidelines, and consulting IPLC groups to ensure ownership and relevance. Action 3: Build IPLC capacities for REDD+ and carbon market participation through training, practical tools, and support for FPIC consultation processes in Amazonian states. This action also systematizes lessons from consultations to improve participatory REDD+ governance and benefit-sharing strategies. Action 4: Empower IPLC with direct access to climate finance by strengthening community funds, supporting eligibility, and facilitating community-led proposal calls. Training and technical support enhance IPLC readiness to access national and international climate finance. Milestones include delivering assessments, technical guidance, training courses, consultation support, and direct access tools. Work Package 3 aims to enhance the Amazon Fund"s impact through innovation, carbon finance, and strategic learning, directly contributing to key performance indicators. Action 1: Improve Monitoring, Evaluation, and Strategic Learning by developing a more agile, transparent Monitoring & Evaluation (M&E) system focused on climate impact, REDD+ safeguards (gender, youth), and readiness for results-based and carbon market finance. This includes refining the Fund"s Logical Framework indicators, enhancing the project evaluation dashboard, and supporting adaptive management aligned with IPLC initiatives. Action 2: Strengthen operational effectiveness via innovative finance and international knowledge exchange. Activities include a study of financial mechanisms (e.g., blended finance, green bonds), a technical report with strategic recommendations for carbon market opportunities and alignment with national/international standards (ENREDD+, Verra, UNFCCC) and support the establishment of two formal knowledge-sharing mechanisms with other funds. A tailored capacity-building toolkit and training materials will support institutional readiness and stakeholder engagement. Action 3: Systematize and share best practices in project design and execution, especially for IPLC and community-based projects with carbon benefits. This involves producing a guidance package with diagnostic findings, design guidelines for improving project quality and scalability, and technical annexes on carbon market readiness and safeguards compliance.